Ethereum News Today: PEPE Hits 7-Month Low: Will Support Level Spark Rebound or Deeper Fall?

The memecoin PEPE has plunged 10% in a single day, revisiting a 7-month low of approximately $0.0055871, as broader cryptocurrency markets grapple with renewed bearish sentiment, according to a PEPE Price Prediction article. Analysts note that while the price dip has triggered historical bullish reversal patterns, short-term uncertainty persists amid waning investor confidence and macroeconomic headwinds.

The selloff aligns with a broader risk-off environment in crypto, where Bitcoin (BTC) and Ethereum (ETH) have also struggled to gain traction. ETF outflows for BTC and ETH have persisted for six consecutive days, with institutional investors pulling $137 million and $119 million, respectively, from U.S.-listed products, according to a Crypto Today report. This trend has spilled over to altcoins, with PEPE's sharp correction reflecting the sector's vulnerability to market-wide jitters.

Despite the decline, some technical indicators suggest a potential rebound. A critical support zone at $0.0055871 has historically acted as a catalyst for bullish reversals, and a bounce from this level could confirm a short-term relief rally, the Cryptonews article noted. A prominent "PEPE Whale" on X highlighted signs of a reversal pattern, urging bulls to monitor the next resistance zone for confirmation. Chandler Charts, a crypto analyst, added that the memecoin's current oversold conditions—its 14-day RSI at 29.97—could precede a 100%+ recovery, echoing past rebounds from similar levels.

However, optimism is tempered by broader market challenges. The crypto sector is navigating a "fear" sentiment phase, with PEPE trading below both its 50-day and 200-day moving averages, according to a Pepe Coin Price Prediction piece. Meanwhile, the broader market's underperformance has been exacerbated by reduced retail participation, as futures open interest (OI) for Ethereum has plummeted to $40 billion from a peak of $63 billion in October, the Crypto Today report added.

In contrast to PEPE's struggles, emerging meme coins like Little Pepe (LILPEPE) are attracting investor attention. Currently in its presale stage, LILPEPE has raised over $27.4 million, with tokens priced at $0.0022—nearly 40% below its projected listing price of $0.0030, according to a Best Ethereum Crypto article. The project's Layer-2 blockchain infrastructure and viral community growth, including a $777,000 giveaway campaign, have positioned it as a high-beta alternative to established meme coins like Shiba Inu (SHIB) and Dogecoin (DOGE), according to a Coincodex piece.

Market analysts remain divided on PEPE's near-term prospects. While some predict a 114% rally by 2026 based on long-term technical models, a Tribune India report suggested, others caution that structural issues—such as PEPE's large supply and lack of utility—could hinder a sustained recovery. The memecoin's performance will likely hinge on broader market conditions, with a potential rebound contingent on a wider crypto upturn, the Cryptonews article added.

As the dust settles, investors are closely watching both PEPE's support levels and the performance of newer meme projects like LILPEPE. For now, the cautious sentiment shows no signs of abating, with risk-off behavior dominating a market still reeling from recent volatility.

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